Real Estate Information

You may feel like you are drowning in paperwork when you head to your lender’s office to apply for your next home loan.  This is thanks in part to tightening credit standards that are causing lenders to require more proof than ever of borrowers’ income and expenses.  To try to help with the process, I’ve put together a list of items you may be required to bring along when are ready begin the loan application process:  (please note, all lenders are different and may require more or less paperwork!)

Employment/Income

-          Addresses of employers for two full years

-          Gross monthly income, proven by last two pay stubs

-          W-2’s, if available

-          Proof of pensions, retirement, disability, or Social Security

-          Proof of income from rentals, investments, etc.

-          Proof of child support or alimony paid/received

-          Self-employed: two years 1040 tax returns and current year profit and loss statement

Creditors

-          Each creditor’s name, type of account, and account numbers

-          Monthly payments and approximate balances

-          Amount of child care expenses and other fixed monthly expenses

Banking

-          Names of checking & savings institutions, along with account numbers and current balances

-          Last two months bank and savings statements

Miscellaneous

-          List of assets in stocks, bonds, land

-          Life insurance cash value

-          Social Security numbers for all parties

-          Veterans: Certificate of Eligibility & DD-214 or Statement of Service

-          Divorce Decree and/or Separation Agreement if applicable

-          Child support documentation if applicable

-          Bankruptcy papers if applicable

This may seem like a lot of personal information to have to provide just to apply for a home loan.  But imagine if you were about to lend hundreds of thousands of dollars to somebody – you’d probably want a pretty good idea of that person’s ability to pay you back!

Please click here to get started searching for Ringwood NJ homes.  You can also visit my website or email me to learn more about Ringwood NJ real estate.  I’m here to help!

It may not be the first thing you think about when you move into your new home, but the soil upon which your home is built can tell you a lot about the past and future of your property.

Visit the US Department of Agriculture’s Web Soil Survey site to access digital maps that display digital soil data that has been methodically collected.  Just type in your address and then explore almost anything you ever wanted to know about the soil upon which your home is sitting including chemical properties, erosion factors and likelihood, and its drainage class.

This is valuable information if you are considering building an addition to your existing home or purchasing a home in an area where you are unfamiliar with the terrain.  

For a free comparative analysis of your home’s value, please click here - or feel free to visit my website or email me if you would like to learn more about Ringwood NJ real estate.  I’m here to help!

The news media has referred to it as “Mortgage Meltdown 2007.”  The recent nationwide slump in the housing market can be attributed to the rocky mortgage market and tightening credit standards.  Following the nationwide trend of increasing foreclosure rates, Realty Trac (an online marketer of foreclosure properties) has announced that the foreclosure filings showed no sign of easing as of this July.

The number of foreclosure filings in July 2007 increased 9 percent over those filed in June 2006, and they rose a staggering 93 percent compared with July 2006.

Read the full article here, and please remember that talking to an experienced Realtor should be one of the first steps any homeowner should take if they think they may be headed to foreclosure.  We can help you review your options and provide honest and comprehensive information about the housing market.

To learn more about the latest in the housing market and Ringwood NJ real estate, please visit my website or call me today at 973-962-5410!

Who can really predict the weather anymore?  With the recent coverage of Hurricane Dean and other weather-related disasters across the country, now is as good a time as any for homeowners everywhere to sit down and take a close look at their homeowners insurance policies.  If you are not familiar with your policy coverage, it is important to become familiar with your coverage to ensure that you are protected if and when a natural disaster strikes or you have to file a claim.  Here are 5 things everyone should understand about their homeowners insurance:

1. Look for exclusions to coverage.  For example, most policies do not cover flood or earthquake damage as a standard item – these coverages must be purchased separately.
2. Look for dollar limitations on claims.  Even if you are covered for a risk, there may be a limit on how much the insurer will pay.  For example, many policies limit the amount paid for stolen jewelry unless items are insured separately.
3. Understand replacement cost.  If your home is destroyed you’ll receive money to replace it only to the maximum of your coverage, so be sure your insurance is sufficient.  This means that if your home is insured for $150,000 and it costs $180,000 to replace it, you’ll only receive $150,000.
4. Understand actual cash value.  If you choose not to replace your home when it’s destroyed, you’ll receive replacement cost, less depreciation. 
5. Understand liability.  Generally your homeowners insurance covers you for accidents that happen to other people on your property, including medical care, court costs, and awards by the court.  However, there is usually an upper limit to the amount of coverage provided.  Be sure that it’s sufficient if you have significant assets.

For more information about owning a home and Ringwood NJ real estate, please visit my website or call me at 973-945-1070. 

Fed Discount WindowCut:

How it affects you...!

The Federal Reserve has taken significant action in the last few weeks due to the credit crunch. And now they've made an unexpected move by cutting the discount window rate - which is great news.  I'll get to that in a minute, but first let's look at recent events and understant what they mean.

Market movement - To date, over 120 mortgage companies have closed their doors due to reduced liquidity.  The result: Borrowers who want to take out non-conforming loans have fewer, more expensive options.

Many media outlets have incorrectly added fuel to the fire by stating that mortgage lending has stopped altogether and that borrowers can't get a loan without a 20% down-payment. This is not true.

Conforming interest rates and loan program, those backed by Fannie Mae and Freddie Mac, have not been significantly impacted by recent events.  Even better, interest rates have come down from recent highs.  While this is good news, the market is experiencing unprecedented volatility and changes could come at any time.   Borrowers need to act swiftly and decisively in todays climate.

Please contact me with any questions or concerns regarding your mortgage needs.

The Real Estate Journal (a subsidiary of the Wall Street Journal Online), reported this week that tightening standards in lending may worsen the housing slump being felt in much of the country.

In the wake of the recent controversy surrounding the sub-prime lending market, more lenders in Ringwood are being forced to raise interest rates and stick with loans that are considered less risky than mortgages that were being offered previously.  It is no longer those with the weakest credit records who are feeling the sting of the tightening standards when it comes to credit, documented income, and down payment ability.

Read the full article here to learn how this trend may affect you if you are in the market for a mortgage.

If you are in the market for a mortgage in Ringwood, Wanaque, or West Milford NJ, I am glad to refer you to a reputable, knowledgeable and competitive mortgage lender who will take the time to explain your loan options to you. This will allow you to make an educated decision about which home loan is best for you considering the current market conditions. Just give me a call at 973-945-1070 or visit my website. I'm here to help.

For those of you who have not yet had the opportunity of visiting our New Ringwood Farmers Market you are missing out.  It is located near the Library at the Ringwood Park and Ride on Saturday morning between 9am - 1pm. 

Be sure to arrive early if you are a serious shopper as many of the produce and freshly baked breads are gone by 11:30 or so.  Everything is freshly grown or baked and is absolutely delicious.  A  band is usually playing creating a wonderful atmosphere and meeting our Ringwood neighbors, friends, and visitors is always a treat.

I hope you get to take advantage of this wonderful new addition to our town before it ends in October.

To those of you who have asked if its worth while re-facing or re-newing a kitchen I want to give you this advise.

If you are planning on selling in the near future, there are some inexpensive cosmetic things you can do to update a dated kitchen without over spending.  I new kitchen floor always helps as well as painting older dated appliances with appliance paint.  Sometimes a new kitchen counter from formica can neutralize a kitchen as well. 

I do not reccommend spending $20K or more in updating a kitchen. The return on your investment may not be realized.

For more tips or questions , email me at orly@onlyorly.com.